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Is Private Education Better? Evidence from Chile

  • Andrea Tokman Ramos

This paper uses Chile’s voucher system to provide new evidence on whether private schools are more efficient than publicly operated schools. It contributes to the world debate by analyzing a universal voucher system. It contributes to previous Chilean studies by reducing the selection bias and allowing heterogeneous treatment effects. The results suggest that public schools are neither uniformly worse nor better than private schools. Rather, public schools are relatively more effective for students from disadvantaged family backgrounds. Such a system of comparative advantage is consistent with the coexistence of public and private schools in most Chilean communes.

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File URL: http://www.bcentral.cl/estudios/documentos-trabajo/pdf/dtbc147.pdf
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Paper provided by Central Bank of Chile in its series Working Papers Central Bank of Chile with number 147.

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Date of creation: Feb 2002
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Handle: RePEc:chb:bcchwp:147
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  1. Epple, Dennis & Romano, Richard E, 1998. "Competition between Private and Public Schools, Vouchers, and Peer-Group Effects," American Economic Review, American Economic Association, vol. 88(1), pages 33-62, March.
  2. Dee, Thomas S., 1998. "Competition and the quality of public schools," Economics of Education Review, Elsevier, vol. 17(4), pages 419-427, October.
  3. Evans, William N & Schwab, Robert M, 1995. "Finishing High School and Starting College: Do Catholic Schools Make a Difference?," The Quarterly Journal of Economics, MIT Press, vol. 110(4), pages 941-74, November.
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